The Vice President of the Ghana Union of Traders Association (GUTA), Joseph Paddy, has identified exchange rate stability as a key driver of business growth, citing recent improvements as a major boost to the trading community.
Speaking at Channel One TV’s quarterly economic outlook on Monday, April 27, he noted that the relative decline and stability of the exchange rate in recent months have brought some relief to businesses, particularly importers who rely heavily on foreign currency.
According to him, the high cost of doing business in Ghana has long been a concern for traders, but the recent easing of the exchange rate is helping to reduce that burden.
He explained that a stable currency environment allows businesses to plan effectively and make accurate financial projections.
“When the exchange rate drops, it helps the business community to operate because the cost of doing business is extremely high,” he stated, adding that recent trends have been encouraging.
Mr Paddy also revealed that some commercial banks are beginning to offer improved lending terms, including interest rates as low as 6% for businesses, an intervention he described as a welcome development, particularly for women engaged in trading.
Reflecting on past challenges, he noted that traders often struggled to access dollars, with rates fluctuating rapidly within short periods.
However, he indicated that the situation has improved significantly over the past year, with the cedi maintaining relative stability for about 15 months.
Mr Paddy expressed optimism that the gains can be sustained, stressing that continued stability will be critical to supporting business expansion and overall economic growth.
